There are a few important differences, however, and while I think Yahoo is right to stand apart from Microsoft, Take-Two should just be happy that someone wants to buy it.

The last time Take Two made a consistent profit was in 2005, three long years ago. The company doesn't have a lot of debt, which is good, but it is running out of cash, and that's bad. Grand Theft Auto IV is slated for an April release, and could boost Take Two back to profitability again; indeed, management is accusing EA of trying to steal the company cheaply before that guaranteed mega-hit. But death and taxes are the only sure things in life, and GTA4 is neither.

Hostile intentions

If EA really is desperate to land this deal, it could easily afford to raise the bid. These guys have $3.4 billion in cash equivalents and no debt to speak of. Take Two's share price is currently higher than the $26 offer on the table, which means that investors think there's more juice to come.

Take Two's takeover defenses are weak, with no poison pill and every director standing for reelection every year. If EA manages to buy more than 50 percent of the outstanding stock in the open market, it can then force an election and install its own puppet board, which then will approve a merger. It will only cost a billion dollars or so to get that far. The obstinate board doesn't have much power to stop it.

The bottom line

Regulators in the US and elsewhere should not pose a threat to such a deal. Consider how easily they approved of a $15 billion deal between Activision and Vivendi's gaming division, and I don't see them putting up much of a fight against this relatively small-time combination.

EA and Take Two will join forces, continuing the industry consolidation. You can bank on it.